down payment
A 'down payment' is a crucial initial payment made when purchasing high-value items like homes or cars, often securing the purchase and demonstrating commitment.
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Definition
B2Finance
(common, technical)An initial, partial payment made when buying something on credit, usually a percentage of the total price.
Example
- She made a 10% down payment on her new car.
- The down payment for the house was 20% of the purchase price.
B2Business
(common)A sum paid upfront to secure a purchase, showing commitment to the transaction.
Example
- The company required a down payment before starting the project.
- He made a down payment to reserve the equipment.
Similar
Terms that have similar or relatively close meanings to "down payment":